NIO will in 2025 launch nine new and refreshed models under its three brands, and is set to enjoy higher gross margins compared with the existing models, as the Chinese electric vehicle maker aims to break even by year-end, its chief executive said on Tuesday.
“Our new product launches are on track and have been gaining traction since March. We will attract customers with new models nearly every month starting from May or June,” William Li, NIO’s founder, chairman, and CEO told reporters in Shanghai (our translation). Li expects these new vehicles to potentially secure higher margins, as the company could benefit from its in-house developed semiconductors and a more cost-effective supply chain due to stronger bargaining power.
“This underpins our confidence in delivering significant growth, especially in the third and fourth quarters of 2025,” Li added.
The comments were made as the L90, the second model under NIO’s affordable brand Onvo, made its debut at this year’s Shanghai Auto Show on Wednesday. The six-seat, three-row sports utility vehicle is expected to have a price tag close to midsize Tesla Model Y, measuring 5.1 meters in length and 1.8 meters in height and having a wheelbase of 3.1 meters. The luggage compartment can hold 10 suitcases.
The company will share more information about the SUV at a brand event in May, according to Eric Yu, Onvo’s product head. A similar event was hosted last May when Onvo’s first model, the L60, made its public debut. The compact crossover costs nearly RMB 60,000 (RMB 8,232) less than the Tesla Model Y.
NIO is expanding its customer base globally through the launch of the firefly, a small EV targeting Mercedes-Benz’s Smart cars and BMW’s Mini Coopers. The car also competes with Volkswagen’s ID.3 and BYD’s Seagull, with a price range between RMB 119,800 and RMB 125,800, and went on sale in China on April 19. President Qin Lihong said overseas sales would begin in Europe between June and August, a bit later than planned. Production of a right-hand drive version of the firefly would begin in October, as the company hopes to enter the UK and markets in Southeast Asia including Singapore, Bloomberg also reported.
Meanwhile, refreshed versions of its existing models, including the ET5 sedan and the ES6 crossover, will be available later this year. NIO’s vehicle margin fell from 20.1% in 2021 to 13.1% as of last year. The company delivered 42,094 vehicles in the first three months of this year, 40.1% growth from a year ago, although sales of its Onvo brand fell short of expectations.
READ MORE: NIO CEO says company prepared for market upheaval in 2025
